ALEXANDRIA, Va.—The NCUA board Thursday reported its 2021 operating budget is on track to end the year with a $15-million surplus.
The board also approved by a vote of 3-0 several adjustments (see charts below) to the budget to be made before year’s end.
While the entire board emphasized continued prudent spending, Chairman Todd Harper announced the agency would be hiring seven additional employees this year. A primary focus of the new hires, Harper stated, would be on strengthening the agency’s cyber-security defenses in the face of relentless and growing attacks from hackers, and also to address government mandates.
Those seven positions will include three to address cyber-security, one for the board secretary and three for the Office of Ethics Counsel.
“Not only do we need to adjust our operations, adopt new procedures and implement reforms, we also need to hire (more) cybersecurity professionals,” said Harper. “One of these new positions will organize, coordinate, and advise on cybersecurity and critical infrastructure matters across all NCUA offices. Once selected, this leader will improve the NCUA board’s understanding and policymaking related to cybersecurity issues going forward.”
'Realistic Picture'
Citing the work of Board Member Rodney Hood, who as chairman created NCUA’s Office of the Chief Ethics Counsel, Harper said the staff hired to address ethics laws will help certify the agency’s compliance with relevant federal ethics laws and regulations, promote accountability and ethical conduct, and help ensure the success of the NCUA’s ethics programs.
“By incorporating (all of) these positions into the baseline workforce count — instead of keeping them as over-hires and outside of the official employee tallies — we are presenting a more realistic picture of the agency’s actual resource and human capital needs to the credit union system,” Harper stated.
Harper also noted two midsession budget initiatives related to human capital.
“One project will conduct an analysis of the NCUA’s compensation plans,” Harper explained. “This study will help the agency determine equitable compensation adjustments for future years and as it engages in contract negotiations with the National Treasury Employees Union. And, the second project will support analytic and consultative work about the NCUA’s diversity, equity, and inclusion programs and practices.”
Both Vice Chairman Kyle Hauptman and Hood expressed concerns over the time they were provided to review the mid-session budget, and the timing of its release.
“I want to express my displeasure on this item, and several others the board has considered over the last several months,” said Hood. “By this point when I occupied the chairmanship, I generally had staff circulate board items as soon as possible. At the time, the other board members generally asked for about two weeks for regular items and a month for complex items like subordinated debt. That is a good framework and while there will be exceptions it should be followed when possible to allow the board offices ample time to deliberate and prepare for board meetings. I hope that going forward this will be improved.”